Skip to main content

tv   Varney Company  FOX Business  October 24, 2013 9:20am-11:01am EDT

9:20 am
♪ jump up, jump up, and get down♪ ♪ jump, jump, jump, jump, jump, jump♪ ♪ everybody yell, jump, jump, jump♪ ♪ imus in the morning >> i am hearing this from both sides, in particular i'm hearing it from a senate democrat, says, look, we've got to just extend the open enrollment, give it a little breathing room here. that sounds to me like an idea that will be a retreat, the first. we did get it right, the enrollment deadline has been extended and it is a first retreat for obamacare. good morning, everyone. you know, it looks like there's more to come. a delay for the entire individual mandate is now being embraced by some leading
9:21 am
democrats. senator rubio, republican, he wants a vote on it. today, the first hearings into the rollout chaos. they've begun. headlines will be made. here is another headline, the tech stock rally resumes. watch out, here comes google, again. and "varney & company" is about to begin. when we made our commitment to the gulf, bp had two big goals: help the gulf recover and learn from what happened so we could be a better, safer energy company. i can tell you - safety is at the heart of everything we do. we've added cutting-edge technology, like a new deepwater well cap and a state-of-the-art monitoring center, whe experts watch over all drilling activity twenty-four-seven.
9:22 am
and we're sharing what we've learned, so we can all produce energy more safely. our commitment has never been stronger.
9:23 am
>> all right. now this, obamacare is now in retreat. the enrollment period has been extended and now from both sides calls for a delay in the whole individual mandate. and we know why. you don't like it, these are the latest poll numbers from fox news. look at this. 60% of voters call the implementation of obamacare, quote, a joke. only 6% describe the president's health care law as wonderful. i'd like to meet that 6%. and now a majority of
9:24 am
americans, 51%, say we should get law out of the way. and despite the president's promises you will not, millions of you, will not be able to keep your plan. listen to what john boehner had to say on this. >> part of the problem is that we've got the whole threat of obamacare continuing hang over our economy like a wet blanket. when you look at the hundreds of thousands of people, i think what you're going to see the end of october, more americans are going to lose their health insurance than are going to sign up at these exchanges. stuart: that's hundreds of thousands, maybe millions much people will be kicked off their plan and now, republican senator marco rubio will be pushing a bill forward to delay the individual mandate in time. that's a very big deal and he's getting some support from the other side of the aisle. four senator democrats, all
9:25 am
calling for a delay. and the president's health care plan, i think, is unravelling. and here is my question. if it's delayed, will they rescind the tax hikes that pay for it? i'm not holding my breath. time is money, back to the theme, the tech rally resumes. 30 seconds, three big headlines. google shares set to open at an all-time high. the horse race stock of the day. find out how high it goes. investor carl icahn sends a letter to tim cook. he wants cook to begin an immediate buyback of shares to spend 150 billion dollars buying at the current price of 525 a share. icahn's got 4 million shares. if the offer is for 5.25 it does not raise the stock price. and a microsoft executive slams the new ipad saying the surface from microsoft is the next best big thing in tech, more storage, more productivity.
9:26 am
a better product altogether says microsoft. the bell coming up next, but first i've got to show you this. halloween is a week away. one father made this costume for his 22 month old daughter, an led costume that makes her looks like a ghostly skeletal figure. sure to be on the hit list. back in a moment. it's a growing trend in business:
9:27 am
do more with less with ss energy.hp is help. soon, the world's most intelligent servers, designed by hp, will give ups over twice the performance, using forty percent less energy. multiply that across over a thousand locations, and they'll provide the same benefit to the environment as over 60,000 trees. that's a trend we can all get behind.
9:28 am
more than a new interior lighting system. ♪ it is more than a hot stone massage. and more than your favorite scent infused into the cabin. it is a completely new era of innovation. and the highest expression of mercedes-benz. introducing the 2014 s-class. the best or nothing.
9:29 am
became big business overnight? ♪ like, really big... then expanded? ♪ or their new product tanked? ♪ or not? what if they embrace new technology instead? ♪ imagine a company's future with the future of trading. company profile. a research tool on thinkorswim. from td ameritrade.
9:30 am
>> markets opening very soon. it looks like we're going to open, 30, 40 points higher. scott shellady in chicago. do you see dow 16,000 by the end of the year? bell i've been bullish, that's why we've got qe. you ask the guys around me, what's the best idea? term limits, but basically take the government brakes off of commerce and let us do what we need to do. stuart: love you, scott. love you, love you. thank you very much indeed. we're off and running and the opening bell has rung and we're trading and the dow opened with a trend towards the upside. you know, it really does look like the tech rally is back on track. let's go with google for a start. it touched a new high yesterday. come in, nicole, where did it open today? >> it did click into the green briefly. it moved now into the red and
9:31 am
you're seeing it around the unchanged line. yesterday, it hit 1035. right, was it 1035 yesterday or 1034. stuart: 1035, i think it hit. >> 1035.75. and we're over the $1,000 mark, but not breaking through at least now yet. we'll see. stuart: we've got it, thank you very much indeed. carl icahn, he moves the market and serious money and he wants tim cook, who runs apple, to begin an immediate buyback of shares. he wants him to spend $150 billion. he wants him to buy back the apple stock at 525 per share and the stock is right there at 525. and i'm going to bring liz macdonald in in just a second, but i want to move on to microsoft. one of their executives is blasting apple's ipad and says that the surface 2 is a much better tablet. no surprise there.
9:32 am
he calls the company's apps struggling and light weight. let's get back to apple. we're getting details of this letter that icahn sent to tim cook. he says spend your cash hoard, 150 billion dollar. buy back your own stock, pay 525 per share for it. that's the guts of what he told tim cook, is that right? >> we don't know the dollar amount yet. if it's 150 billion, wow, that would chew up apple's entire cash hoard which it needs to expand in china with the cheaper phones. it needs the cash pile. the issue for apple investors and viewing is this, will icahn's move actually move apple stock higher? tim cook so far has not responded, this comes in advance of their october 28th earnings call. icahn is it still a minority shareholder in apple so we'll probably see, stuart, more letters like this from carl icahn and apple has a record buyback underway.
9:33 am
stuart: apple owns 4.7 million-- 4.7% of the company. stuart: if apple did a whooping buyback, wouldn't that raise the value of icahn's stake? obviously he's being self-serving here, but working on behalf of shareholders? >> yes because when you take more stock out of the market, it raises the earnings per share and that tends to pop it higher. the problem is eating up apple's cash hoard that it needs to expand, right, because it's being dinged for basically upgrading, it can't upgrade the existing products into infinity. people are disappointed by that. the idea is for apple to expand into china and it needs the cash pile to do that. stuart: i find it fascinating that a guy, an individual guy, even though he moves billions of dollars should be going at apple of all people, the world's most valuable company, at least a year ago. liz, stay right there. i've got a lot more stuff for us, seems there's no stopping
9:34 am
this tech rally, what about other sectors, is that a decent place to put your money? industrial america? chambers is here and he's joining us now. we're saying that technology is the only game in town and maybe we're going extreme there. do you see any other areas? we're not going to make some serious money? >> well, i mean, the trouble in trying to make serious money, you can get poor quick. as anybody from tesla can find out. it's trading and not investing. the market is going up, across the board, if you had a good portfolio or solid shares you'd be doing well indeed. you no need to get greedy in the dot-com crash. >> tech stocks are for traders, get in, get out. buy and hold more, that's more for industrial stocks, isn't it? that's what you're saying here? >> well, long-term stocks, if you look at apple which you were talking about know you, fantastic stack right now, but
9:35 am
so was blackberry five or six years ago, nokia. up like a rocket and down like a stick. so you don't know what's going to happen with a company like this in five year's time. ge is probably up-- >> it's not like up like a rocket and down like a stick, it's down like a stone. how long have you been here. [laughter] ford's chief alan mulally says the u.s. fiscal policy will be a risk to the economy in 2014. fiscal policy a risk to the economy in 2014. alan mulally, go liz:n ben bernanke said the same. and gridlock, is that a good thing for the u.s. economy? the u.s. economy has not been creating the jobs it needs for the last couple of years. that's the central issue. and the argument has been undermined and undercut by the
9:36 am
jobs pictures that's been very poor the last couple of years and economy has been very poor. stuart: the ford motor company hit a high of just over $18 a share moments ago and now we've got the chief, alan mulally saying that america's fiscal policy will be a drag on the economy. got any comment on that? >> is it really a policy or lack of policy? is it government or lack of government? if this is what they call a policy i want to know who is coming up with it. it's madness at the moment. and the alleged policy is pretty crazy, but when they can't get to an agreement whether they should pay their bills or not, i think that policy is probably the wrong word. stuart: well, speaking of policy, whichever way you take it, the rollout of obamacare is just clear chaos. house speaker john boehner calling it a wet blanket for the economy. back in, liz. is this -- i think that obamacare the rollout hits small businesses in particular liz: yeah, all net new job creation comes from startups, from small businesses.
9:37 am
since the beginning of the year we've actually lost full-time jobs by creating since january 1 through june 30th, we've created more part-time jobs, so we're net losing full-time jobs in this u.s. economy, stuart. stuart: clem, does the economy take a hit because of this obamacare rollout chaos? >> well, of course it does. but the health care issue i think is misunderstood. you look at california they're already spending 50 billion a year on health care before this happened. so, there's already massive spending. and people are treating it as if it's something new, this spending idea. it's massive, it's just more money on more money. it's vast, vast money spent here. stuart: let's get back to the market. bank of america found liable for having sold defective mortgages. how much are they going to have to pay, clem? last week was j.p. morgan forking over an estimated $14 billion. and then bank of america paying for country-wide's sins, 16
9:38 am
billion i'm calling this a war on bank, how about you? >> it's a tax on banks. the fines are passed onto the consumer, aren't they? these are big chunks of money and for sometimes banks were doing what the government was telling them to do. please rescue this bank and now we're going to fine you 10 billion for doing it. it's political football and more political madness. the banks, american banks are one of the worldclass actors that drive the economy of america and the world and they're rescuing the country, well, maybe from their own things in the first place. >> these two banks, j.p. morgan chase and bank of america have buyers remorse, they wanted that bigger footprint to be big banks by buying washington mutual, countrywide and the like. and you know, they made those decisions back in 2008. stuart: who is going to bail out a small bank in the future? you get loaded with their sins, you're not going to do it
9:39 am
liz: we've seen this the last several decades. when banks fail, i go abouter banks do that, and what do you do if you're getting criticized. stuart: a lighter subject. prices at the mcdonald's dollar menu are going up. they're changing the menu to dollar menu and more and offering items as much as $5. clem, analyze this from a financial perspective, please, not from your menu choices, but is this a hit to mcdonald's or a plus for them? >> well, i mean, there's inflation going on, inthough it's not in the official figures, but it's not just the price going up, but portions going down. and things that you would buy a big packet of for one price, it's not only prices going up, but portions going down and that's inflation that's hidden of course. >> but cheap is chic. and a third of the mcdonald's are buying off the dollar menu
9:40 am
and now the dollar is now $5. they want cheap food on the fly and maybe that move will put a smile back on ronald mcdonald's face because the same-store restaurant sales have been there. >> and thank you, liz. >> sure. stuart: checking the big board we're up 48, we were up 60, but now it's a 49 point gain. and the obamacare train wreck happening now on capitol hill. will we finally start getting answers on this disaster? we'll deal with it after this. ♪
9:41 am
(vo) you are a business pro.
9:42 am
maestro of project management. baron of the build-out. you need a permit... to be this awesome. and from national. because only national lets you choose any car in the aisle... and go. you can even take a full-size or above, and still pay the mid-size price. (aaron) purrrft. (vo) meee-ow, business pro. meee-ow. go national. go like a pro. it's been that way ysince e day you met.. but your erectile dysfunction - itld be a question of blood flow. cialis tadalafil for daily use helps you be ready anytime the moment's right. you cabe more confident in your ability to be ready. and the same cialis is the only daily ed tablet approved to treat ed and symptoms of bph like needing to go frequently or urgently. tell your doctor about
9:43 am
all your medical conditions and medications, and ask if your heart is healthy enough for sexual activity. do not take cialis if you take nitrates for chest pain, as this may cause unsafe drop in blood pressure. do not drink alcohol in excess with cialis. side effects may include headache, upset stomach, delayed backache or muscle ache. to avoid long-term injury, seek immedte medical hel for an erection lasting more than 4 hours. if you have any sudden decrease or loss in hearing or vision, or if you have any allergic reactions such as rash, hives, swelling of the lips, tongue or throat, or difficulty breathing or swallowing, stop taking cialis and get medical help right away. ask your doctor about cialis for daily use and a 30-tablet free trial. bounce keeps my clothes fresh for weeks, even when they've been sitting in the drawer a long time. like those jeans you can't fit into anymore.
9:44 am that, i mean... [ male announcer ] how do you get your bounce? long-lasting freshness.
9:45 am
>> we're holding onto a 35, 40 point gain for the dow industrials. tech stocks are doing well and some industrials are up as well. notably ford motor company. what's the price of gold, 9.50 higher. he wants tim cook to make an immediate buyback of shares to spend $150 billion. what's that icahn wants apple to do. the stock is at 523. we hear that he wants them to buy back the stock at 525. nonetheless, apple down a bit. 523 right now. ford motor's chief, alan mulally says the physical policy is a risk to the u.s. next year and i'm staying with ford. in other words, he's not going to microsoft. ford hit above 18 a moment ago.
9:46 am
hearing on the obamacare website disaster is underway on capitol hill. congressman griffith stepped out of the hearing, he's part of it and joins us now. congressman, i know the hearings have only just started. are you hearing anything like an mea culpa from the people on the stand putting together the obamacare exchange? >> based on the written testimony it's pretty clear they're saying we're doing our job and we were part of the testing team, qssi and we told the administration what we ought to fix and the vendors what they ought to fix that didn't work in the test and i can't wait to hear what they said they told the administration was actually wrong with the website. and that had to have happened before october 1, but we didn't hear a word about it until a week or so ago. stuart: you're going to get an answer to the question, if you tested it and it failed before the launch, why on earth did you launch on october 1. i'm sure you're going to ask
9:47 am
the question. do you have any idea what the answer might be? >> i know what the answer might be, that the administration had so much political capital based on going forward on october 1, they were willing to throw the dice for the american people or those who need insurance or see what's available. stuart: and what's going on in the hearing, is it contentious? >> it's contentious with the members of the other party they want to talk about things that happened during the bush administration. we obviously want to focus on what's happening now and if it can can't be mixed what we can do to save the american people from the debacle obamacare. stuart: you're a republican from virginia. >> yes, sir. stuart: do you believe that government is capable of doing this kind of thing, managing the health care of an enormous number of americans, a big chunk of america's economy? look, i'll tell you straight, sir, i don't think that government can do it. it's just the wrong vehicle to be doing this kind of thing, but i want to know where you're
9:48 am
coming from? >> well, being a proud virginiaion. my family goes back to the colony days. we all agree with thomas jefferson, the government that governs best governs least. stuart: will you be on the committee when it reviews kathleen sebelius next week? >> yes, we'll follow up. if we don't get answers today, we're sure the secretary will have the questions. what did they know, how much did they know, why didn't they slow it down despite the republican's offer to delay. stuart: you expect a series of hearings today and next week and you're not going to let up and we're going to hear a lot as it rolls out? >> we'll continue to work on this and continue to find out what went wrong, not only with obamacare, but when we anticipate what's going wrong with other parts of obamacare. we were criticized by the democrats because as late as 11 days before the hearing, they were coming in and saying everything is fine and why are you asking questions? everything is fine. we didn't think everything was
9:49 am
fine and we don't think it's fine with obamacare, the total plan, either. >> congressman morgan griffith, a republican of virginia, you've got to get back to the hearing room and we appreciate your time this morning, sir. >> thank you. >> yes, sir. big government, i'm going to say it's crashing and president obama's policies are the reason why. that's an opinion of mine and it's my take next. ♪ don't you come back no more, no more, no more♪ ♪ hit the road jack, don't you come back no more♪ [woman]ask me...
9:50 am
[announcer]...if you think the best bed for one of you might be a compromise for the other one... [woman]ask me about our tempur-pedic. [announcer] they're sleeping on the newest tempur-pedic bed... the new tempur choice... [man]two people.two remotes. [announcer] firmness settings for the head,legs,and back... and with tempur on top,that famous tempur-pedic comfort comes any way you like it! [woman]ask me about the lumbar button. [man]she's got her side...and i've got my side.
9:51 am
[announcer] tempur-pedic.the most highly recommended bed in america. [woman]don't touch my side!
9:52 am
9:53 am
>> stock alert. new high for google. it just touched 1038, backed off a bit now, 1034. okay, where is hollywood now that obamacare is an unmitigated disaster? all of those supporters suddenly quiet. we'll talk to the author of hollywood hipocrits at the top of the hour. plus, fans making threats to pro athletes and sports teams on social media, has facebook, twitter brought an ugliness to american sport? we'll ask a pro football player on this program. and here is my take on government. i think it's crashing and it's taking this whole presidencyth let me explain. since day one, president obama has been all government all the
9:54 am
time, every policy has centered on government action. early on, he told students at a leading university what the individual can't do, what the corporation won't do, the government will do. immediately after that, we've got the stimulus program. nearly a trillion in extra government spending. we had a government bailout. we had intention government imposed regulation. and don't forget all of those extra taxes that the government imposed. and now, obamacare. the biggest government program of them all, and it's just not working, is it? there is a moral here. government doesn't do things well. how on earth did we ever get brow beaten into believing that government would make a good job of running our health care system? we're all going to pay the price for this, including the president. his name is on this disaster. but i am determined to look on the bright side. years from now when we look back at the obama years, the failure of government will be clear.
9:55 am
government did not unite us. government didn't make us prosperous. it simply can't work. at that point when we get there, maybe we'll look at our true heritage, private enterprise, individual liberty, personal responsibility, wouldn't that be great? i live in hope.
9:56 am
9:57 am
9:58 am
stuart: october 24th the obamacare hearings begin and the pressure to delay the whole
9:59 am
thing has reached boiling point. it having got it right yesterday we are on it again today. where are the hollywood celebrities who were gung-ho for obamacare before they saw the rollout disaster? jason investigates. a little like the poster child for pension debt. no big deal, they say. yes it is says the wall street journal when they are here. the federal reserve? never heard of it says the man on the street. oh yes, it is a very big deal says john stossel, too big and powerful and messing with us all. he is here. death threats to that leads by social media? maybe just part of modern life. and nfl player is here with that. this is the all new second hour of "varney and company". we are half hour into the trading session, dow jones average standout 15,468, up 54
10:00 am
points. let me give you three big names, google, the high yesterday was 1034. it went to a new high, there you have it, that from that, can, although late. 1040, any advance. move on to amazon, they are back a little bit. i of their high but 328. facebook stock not too far, 54 and changes the high, 5222 now and then we bring you to netflix. more subscribers than hbo? our next guest says sell this thing. oh oh oh. jeff is the founder of wealth management. you are the guy in the wall street journal when netflix was
10:01 am
at 60, did you go out and buy it? now 330 or whatever it is, you say sell it. charles: amazing how much the psychology changed with netflix. now betty has a fear of missing out and we have this stock is trading at 400 times earnings, hundred times earnings, ninety-five times forward earnings and around 400% in 52 weeks. when you have a stock run that much we have to listen to read hastings. this was a breath of fresh air. read hastings says my stock is up because of the momentum, we did not hear a ceo a safe and he is telling the truth. stuart: i would imagine netflix will pull back. at that point would you think maybe not a bad idea to put money in and hold it because netflix is the king of global
10:02 am
streaming. streaming is the form of entertainment that is going gangbusters. >> netflix is the brilliant company. in every way a brilliant company that has fallen victim to the momentum investors. they own entertainment and entertainment content is king. they own contact with house of cards, the new oranges, everything they are working on they own the entertainment industry. we are going to see more netflix in the future but when we have this momentum behind it, you can't disregard valuation, can't disregard reality. there is reality. stuart: you are pouring cold water all over the premise of this show and several shows like it, technology is leading the market higher and you say sell it. we will move on. twitter goes public nov. fifteenth. you say twitter has a real problem with what?
10:03 am
patent ownership? >> twitter is another company that is revolutionary in culture. the problem with patents, they have a very radical opinion. they believe they don't need them. they believe they want to have this open environment and don't need patents. as a result any employee, anybody that has any inside knowledge of what is going on with twitter could easily take technology somewhere else and compete. that will be a concern to shareholders because patents are valuable and the ones they do have their using in a defensive manner. they are not aggressively pursuing patents like apple and ibm in the past. they are very loose with it. they are inviting competition. stuart: is there any technology stock which you really like? and stop pouring cold water rollover varney? >> i happen to like amazon. i think amazon does have a
10:04 am
little bit of momentum. we have so many momentum players in this game. such a fear of missing out, everybody piling on to the stocks because they're afraid of not owning them when they hit the next p. google above $1,000 is a brilliant company but let's face reality. there comes a point they are too expensive. stuart: e.u. point. >> remember 1999. stuart: that is a good question. are we? >> there is have and have nots in technology. you have google, apple, netflix and everybody else and especially since there in the indexes, a tremendous run up in prices. we could see some semblance of 1999 type collapse but the difference is these are real companies. only on momentum. stuart: you are free and open.
10:05 am
good stuff, we thank you for joining us. let's get to the industrial side of a market. i am talking ford motor co.. the stock moved above 18 this morning and alan malawi took out a headline. >> he is staying with the company. there was talk about him leaving heading to microsoft saying he is going to stay with the company and call this one ahead. united the $18 mark, 8 dino 2 is the highest level since january of 2011 doing well with ford focus so with the f series truck doing well abroad and raising global outlook picture going forward so so far so great for ford. stuart: they tried to sell me an f 150 on 48th street, tried to sell me a couple other cars. i didn't jump at the manned by them but we give some nice pr
10:06 am
commercial. >> that is how major role, bring it to you and hope you buy it. no discount was offered. thank you very much. back to reality, hearings on the obamacare website disaster are under way. a company responsible for building the broken website testifying before congress. they say no amount of testing could have prevented the problems. this is strengthening the case for an extension of the open enrollment period land at the late for the entire system, certainly the individual mandate. we have four senate democrats, jean cheri team of new hampshire, marc prior arkansas, joe mansion, was redeemed, mark baggage, all alaska, joining republicans, they want a 1-year delay in the individual mandate. >> that is what the shutdown was about. we are not going to do it as soon as we saw the rollout i am beginning to think people are
10:07 am
going to look again at ted cruz and wonder if staking out ground against obamacare might not have been as crazy as it sounded at the time. stuart: maybe can say i told you so. hollywood obama zombies talked up the health-care law, hollywood celebrities love obamacare. lady gaga and several others apparently coming out in support of the law or at least they did. even the satire website funny or die is getting in on the action. >> i am the one with the scandal that needs to be fixed. my company's health care doesn't cover mammograms. stuart: where are the where are
10:08 am
her stuart: -- >> they not going anywhere. stuart: when they are still in there. stuart: they concede this disaster unfold. it is considered a disaster by everybody, it is hurting everybody and yet hollywood is still gung-ho for it? >> they are gung-ho for this
10:09 am
white house, remember, obamacare's financial viability rests on millions of young people who are young enough like me to be forced to sign up and therefore spread the cost to subsidize those who are older and sicker. the white house, everyone has to concede that it has been a disaster they need the pr push from their allies in hollywood. stuart: they desperately need young healthy people like yourself. you got to sign up for this and if you don't sign up for this you mess up the entire system. they need young healthy people paying in. do you think they will get it? >> there may be obama zombies to see a 404 error message to think it is part of the health care plan. it is not part of the health care plan. it is an error message. they get millions of americans -- they are not -- what young person will call an 800 number only to stay on hold 45 minutes or longer to get directed back
10:10 am
to a website that doesn't work? these people are communicating a of the attention span of the 140 characters or less on twitter. stuart: hold on a second. i will run an ad for obamacare that features a keg. look at this. you got a full screen? i can read it from here but they are using a keg party, don't spend your money on beer, your money on obamacare. got insurance. what do you make of that? >> it is and obama navigator in colorado who put this together to encourage young people don't worry, you can be injuring can don't have to spend your money on alcohol and beer or use your money on health care. >> that show breaking bad about the method dealer, he wasn't able -- just canceled that, he was killed law, bad.
10:11 am
they could have incorporated obamacare somehow, maybe he had a preexisting condition. >> if breaking that did not end walter white could have signed up. he wouldn't have been in a position of having to cook and sew and ruin his entire life. stuart: got to get back to reality and you, you are young, in your 30s. >> i just turned the big 3-0 which means i am 50 years younger than you. stuart: easy. people like you are in touch with people like you all the time. what is their opinion of obamacare? >> those who were eager to sign up at a bunch of friends who have gone and tried to navigate this program and see the sticker shock with them losing their
10:12 am
insurance or premiums being jack hiatt to cover these mandated benefits they wouldn't have otherwise got. it is a golden opportunity for the republican party and we discussed this many times, a clear disadvantage with young people to go ahead and talk about how distinct this functional big government is, this is a textbook example of government is incompetent compared to the private sector. stuart: this young man agrees. very good stuff. get out and spread the word. it is the reality of the obama economy, the new normal. the fed going to keep on printing trillions upon trillions and janet yellen will not stop it because john stosssl is not happy about this. here he comes. he will wheelbarrow full of money, not real, presumably, not when i am around. watch out. you don't want to show it to me. when we made our commitment to the gulf, bp had two big goals:
10:13 am
help the gulf recover and learn from what happened so we could be a better, safer energy company. i can tell you - safety is at the heart of everything we do. we've added cutting-edge technology, like a new deepwater well cap and a state-of-the-art monitoring center, whe experts watch over all drilling activity twenty-four-seven. and we're sharing what we've learned, so we can all produce energy more safely. our commitment has never been stronger.
10:14 am
ido more with less with buss energy.hp is help. soon, the world's most intelligent servers, designed by hp, will give ups over twice the performance, using forty percent less energy. multiply that across over a thousand locations, and they'll provide the same benefit to the environment as over 60,000 trees. that's a trend we can all get behind. nice car. sure is. make a deal with me, kid, and you can have the car and everything that goes along with it. ♪ ♪ so, what do you say? thanks... but i think i got this. ♪ [ male announcer ] the all-new cla. set your soul free.
10:15 am
stuart: look at this. interest rates down big time. the yield on the ten year treasury 2.5%, drifted 249
10:16 am
moment ago, a very big deal because it is a sharp drop in interest rates. the 30-year fixed-rate mortgage from freddie mac cam and at 4.13% and that is down as well. >> printing more money as simple as that. stuart: another feature of the obama economy, united states spent $3.7 trillion on welfare programs in the last five years. that sound about right because the census bureau data confirms nearly half, 49% of americans receive one or more forms of government assistance. >> bottom line is there is no shade mean taking welfare and more. these to be something even poor people were reluctant to do. now middle-class people do it. kids in the 20s taking food stamps and they could be eating tuna fish the we were when we were poor but instead they take food stamps because there's no shame in it anymore.
10:17 am
stuart: john stossel has a show as always on thursday night and it is about the federal reserve. you went on the street and asked if they knew what the fed is. >> what is the fed? i don't know. >> at least a few people pet tension. >> the central bank. >> what does it do? >> determines monetary policy? >> how much money to be allowed in circulation. stuart: all these responses are edited. the last gentleman really knew what he was talking about. your show is all about the fed tonight. a lot of libertarians, maybe the extreme part of the libertarian party don't want any fed whatsoever, they think it is a conspiracy. what say you? >> i am not so sure but are you comfortable with giving a dozen old white people the power to
10:18 am
make $4 trillion. stuart: why bring race into this? >> if it were anything but the fed the left doesn't understand it would be screaming it is controlled by old white people. i thought was a provocative term. some much power and so much money and they do in secret, congress spends $2.36 trillion. stuart: if you are in favor of a central bank and i take it that you are -- john: free banking in canada, they didn't have those banks fell during the depression. each bank issued its own currency and they compete and that might work better. central planning doesn't work and where else in life. stuart: you are right out on the extreme. do you really want to go to the day when we have a bank in new york issuing its own dollar bills and the bank in san francisco issuing its own dollar bills and in the mall in, they
10:19 am
all lose value the father from new york. in the 1840'ss and 50s. john: people can judge whether the varney bank is better. stuart: when you are way out there in never never land and you know it. >> inflation has been a long and su and maybe we will have one of these, $100 trillion bill. it goes up quickly. stuart: i you going to predict rampant inflation? printing trillion dollar bills? john: don't forget inflation. they created $4 trillion, printing money. stuart: that is the nature of your show tonight?
10:20 am
will you stake out a position? you want banks to issue their own -- john: defenders, on which the competing currencies would be legal paula q. what if -- just a promise? stuart: were you in favor of bit klein? john: yes. stuart: when using it for dope deals. >> don't deal too and the big collins of gone up in price. john: you can still buy gold. and i have bought gold coin. stuart: you believe in the gold standard. >> not so sure about that. may be. stuart: you would rather have individual banks issuing dollar bills of their own? >> competition works. stuart: i am just fascinated by the idea of the fed issuing heroin banks. what time? john: 9:00 eastern time on which
10:21 am
network? john: the fox business network. stuart: what is the name of this? john: fed up. the name of the show is stossel and 9:00 eastern time, if you don't get it what was that? stuart: thanks a lot. sportscaster bob costas is a live nbc nfl broadcasts against the redskins name. the network should have disclosed one thing. find out what that would be after this. what's better than zero heartburn?
10:22 am
♪ nothing, that's what? that's why i take prilosec otc each morning for my frequent heartburn. 'cause it gives me a big fat zero heartburn. woo hoo! [ male announcer ] prilosec otc. the number one doctor recommended frequent heartburn medicine for 8 straight years. [ larry ] you can't beat zero heartburn. and best of all, it means i can enjoy all the foods i love. oh, zero heartburn is awesome. just like zero clery. ♪ [ male announcer ] prilosec otc. one pill each morning. 24 hours. zero heartburn. [ male announcer ] prilosec otc. sometimes they just drop in. always obvious. cme group can help you navigate risks and capture opportunities. we enable you to reach global markets and drive forward with broader possibilities. cme group: how the world advances.
10:23 am
10:24 am
tdd#: 1-800-345-2550 life inspires your trading. tdd#: 1-800-345-2550 where others see fads... tdd#: 1-800-345-2550 see opportunities. tdd#: 1-800-345-2550 at schwab, we're here to help tdd#: 1-800-345-2550 turn inspiration into action. tdd#: 1-800-345-2550 we have intuitive platforms tdd#: 1-800-345-2550 to help you discover what's trending. tdd#: 1-800-345-2550 and seasoned market experts to help sharpen your instincts. tdd#: 1-800-345-2550 so you can take charge tdd#: 1-800-345-2550 of your trading.
10:25 am
stuart: we are up 15470, interest rates of gun down this morning, stocks have gone up. low theory is janet yellen keeps on printing well into next year. last week during halftime, sportscaster bob costas, they name the redskins. and calling it an insult on a
10:26 am
sweater. nbc sports partner with the native indian nation casino before the cost as renton. and overseen by i representative, ray harbinger, the man behind the push to change the name. this gentleman gets involved at nbc pushing for boxing. >> just a coincidence. you not claiming it is anything but a coincidence that it would be in favor of something is new business partner would be in favor of. stuart: he is not a blood member. >> we know he is a campaign donor and organizer 4 barack obama and according to new york assemblywoman claudia kenny, no ancestry in the six nation tribe, a lot of powerful friends in washington d.c.. if you have enough friends in washington doesn't matter how you misrepresent yourself.
10:27 am
stuart: he is pushing for the redskins to change their name. costas goes on a rant about the redskins being an insult and the slur, this gentleman that has a deal with nbc to put boxing on from an indian casino and there's a contradiction all the way around. that is what is going on. >> obviously these things you can't prove a direct connection but where there is smoke there is often fire and bottom line is costa seems to be a tool. he is either a fool for the politically correct or he is the tool for this individual who has a lot of -- stuart: what good is that opinion? iec america was the one place you didn't have to be political. >> why do we have to bring politics into sports or religion? used to be you didn't have to but separate church and state, nowadays it seems impossible. stuart: i want to bring your wife into this and explain to our good audience, david's wife
10:28 am
wrote an article on bill deblazio who is likely to be the next mayor of new york city, democrat front runner by 20 or 30 points and in his youth mr. deblazio worked in nicaragua. your wife has written an article titled bill deblazio should ask me -- >> the same year he went to support the government of nicaragua was the same year 1988 that my wife came to new york with my 7-year-old stepson to escape the people were trying to kill her. this man was supporting a government that was trying to destroy my wife and her son. how do i feel about that? i am ticked off that this guy, he continues to support his actions back then. new york times, new york times piece a couple weeks ago in which he said they may have made mistakes but basically they were good people trying to do the
10:29 am
right thing. not true and my wife was a member of the movement. was not one of these right wing, she was a member of the government, worked for them long enough to realize they were killing people and had very bad intentions for the country and she got out. that is when they began to go after her. stuart: if he becomes but mayor of new york and i am sure he will his policies are way to the left. what will it do to new york city? >> what he is trying to do is squeeze man and for every penny and has. therehattan for every penny and has. there are a lot of millionaires. he has a lot of plans, questions whether the folks in albany will allow him to get away with and what happens to the millionaires in manhattan. a lot will move to new jersey. stuart: the garden state. we are not allowed to pump your own gas. >> my family could tell him a thing or two.
10:30 am
stuart: read that article in today's wall street journal. the little i has gotta $100 billion unfunded pension liability. no big deal. so says the state's senate president. we will deal with that after thrusters at 30%! i can't get her to warp.
10:31 am
losing thrusters. i need more power. give me more power! [ mainframe ] located. ge deep-sea fuel technology. a 50,000-pound, ingeniously wired machine that optimizes raw data to help safely discover and maximize resources in extreme conditions.
10:32 am
our current situation seems rather extreme. why can't we maximize our... ready. ♪ brilliant. let's get out of here. warp speed. ♪
10:33 am
10:34 am
♪ stuart: it will take full control of it joy that sure with samsung's business that makes the glass screens. i thought investors may like that. they certainly did yesterday. it was up yesterday. it is down today. we have been calling this a pension crisis. we are talking about illinois. near $1 billion of pension liabilities. not everyone in the state thinks
10:35 am
it is a big deal. quite frankly, i do not think you can use the word crisis to describe it at the state level. you have followed it day to day four years, i believe. >> this has been years and decades in the making. loaded pensions, increases and they will probably hit the wall soon. stuart: would you say hit the wall, to me, that means they cannot our omb more money. that is not coming soon, is it? >> they will have to raise taxes again. they have the second highest unemployment rate. it is not bringing in the revenue they need.
10:36 am
stuart: they have another choice. you can raise taxes. yes. that is choice number one. you can also trim the pension payout. >> yes. nothing has happened because of legislative gridlock. it is worse than even in d.c., if you think about it. stuart: trying to believe that the state president there has it right. it is not a crisis. >> he will be out of there by the time it blows up. stuart: they can raise taxes. they do not go insolvent for a decade at least. >> it is not having economic growth. stuart: that is not too far away.
10:37 am
>> that is right. >> one thing that i do not understand, the unions have been on the downside. the people got fed up with all of these special favors to the unions. why hasn't that union backlash hit illinois? >> it is a completely democratic controlled state. >> wisconsin was as well. >> so much power is concentrated in chicago. they are much more powerful. i would say the public unions in chicago are just as powerful as they are in new york if not more so. stuart: illinois remains the poster child for a pension mass.
10:38 am
>> yes. >> you know they will put it off for as long as they can. stuart: absolutely. it will be like the government shutdown. thank you for bringing us up to date. we appreciate it. fans making death threats on twitter over things like fantasy football. a pro athlete responds next. our fans getting like soccer fans? going too far. >> in other words, you are the nobody. the talentless james brown. ♪
10:39 am
thank you orville and wilbur... ...amelia... neil and buzz: for teaching us that you can't create the future... by clinging to the past. and with that: you're history. instead of looking behind... delta is looking beyond. 80 thousand of us investing billions... in everything from the best experiences below... to the finest comforts above. we're not simply saluting history... we're making it.
10:40 am
[ bell ringing, applause ] five tech stocks with more than a 10%... change in after-market trading. ♪ all the tech stocks with a market cap... of at least 50 billion... are up on the day. 12 low-volume stocks... breaking into 52-week highs. six upcoming earnings plays... that recently gapped up. [ male announcer ] now the world is your trading floor. get real-time market scanning wherever you are with the mobile trader app. from td ameritrade. ♪ stuart: number of people applying for unemployment benefits down 12,000 last week. the labor department blaming the weak numbers on the government shutdown. a new survey by wells fargo finds 37% say they do not ever expect to retire. they say they will have to keep on working until they drop dead.
10:41 am
really? there is no boston red sox taking an early lead in the 20 that team world series. the second game takes place tonight in boston at 8:00 p.m. eastern. the stock market rally. ♪ [ male announcer ] need help keeping your digestive balance in sync?
10:42 am
try align. it's the number one ge recommended probiotic that helps maintain digestive balance. ♪ stay in the groove with align.
10:43 am
stuart: to nicole. nicole: cut out with great numbers. north america is strong. also, a broad and middle east. looking good. stuart: i want to get to the big lord for a second. we have a consistent rally. we have google continuing to trade around 1030. that is nice and high there. we have amazon around 328. we have a game for facebook. all kinds of these technology stocks still leading the rally. facebook is 52 and change now.
10:44 am
we have a disturbing trend on social media now. a man arrested for saying this. "there will be a blood bath at citi field tonight." brandon jacobs received this threat over fantasy football. if you do not rush for 50 yards and two touchdowns tonight, it is over for you and your family. ouch. not good. adam, i have to say, you have to do something about this violence in social media. if you do not, you end up like european soccer. worse, british soccer. what are you going to do? >> i have not watched a whole lot of soccer in my day, but those fans are very passionate. the thing is, once we take the helmet off, we are people also.
10:45 am
we have wives. we have families. we have kids. we have a very good nfl security team. when some of my teammates have had issues, we can go there and they take very good care of us. >> that is very good news. does it affect you? does it affect your play? >> i do not think it affects your play. doing what we do, everything is critique. you get happy fans that treat you good things all the time. you have fans that are upset that you negative things. if you are worried about every little thing like this, you are probably in the wrong business. there is so much public scrutiny with everything we do.
10:46 am
as long as you feel safe with our security team, which i do, it should not affect you at all. stuart: you cannot get away from it. i do not think that there is anything you can do about it. >> i really do not think there is. it is interesting. some of the local writers report on the team. sometimes they will write negative or positive things about a player. they get reactions as well. that is just part of being a fan. that is just part of being passionate. you do not need to be threatening anybody. be passionate, bevocal, but be respectful. >> you can change the language. even in politics, look at the last shut down.
10:47 am
at least we can demand that our leaders, our public leaders change their tone. the president was talking about it. if it starts there, if that is where we get the violent talks, it will filter down throughout our society. stuart: last word to you, adam. oh, i am sorry. we have an audio problem. thank you. dow jones industrials up 60 points. another development in the hacking scandal. turns out we may have had and to angle of merkel's phone. that is not funny. that is next. ♪ when we made our commitment to the gulf, bp had two big goals:
10:48 am
help the gulf recover and learn from what happened so we could be a better, safer energy company. i can tell you - safety is at the heart of everything we do. we've added cutting-edge technology, like a new deepwater well cap and a state-of-the-art monitoring center, whe experts watch over all drilling activity twenty-four-seven. and we're sharing what we've learned, so we can all produce energy more safely. our commitment has never been stronger.
10:49 am
ido more with less with buss energy.hp is help. soon, the world's most intelligent servers, designed by hp, will give ups over twice the performance, using forty percent less energy. multiply that across over a thousand locations, and they'll provide the same benefit to the environment as over 60,000 trees. that's a trend we can all get behind.
10:50 am
10:51 am
stuart: and investor karl icahn and thus by the billion. making headlines with apple. buy those shares at the current price of 525. any impact on the stock? not much. 526 on apple right now.
10:52 am
we have a fight brewing on twitter. here is what bill gross just treated. why can't you just leave apple alone and spend more time like bill gates. >> he knows how to make money. he is trying to goose up this stock. he calls apple dramatically undervalued. he may be right, by the way. there is also a question of whether he wants a seat on the board. maybe he is angling for a seat on the board where he could possibly push more strongly his position for the stocks buyback. he knows what he is doing. he wants more money.
10:53 am
he is the 17th largest shareholder of apple stock. he may think that the only way to do that is to get a seat on the board. >> if you want cooked to spend 150 billion buying apple out 525, that seemed to be the demand, that puts a flaw under the stock. >> to a certain extent. first of all, he will not get the 150. he wants to put a lot more money into research and development. there may be a way to do that overseas. he may get some of what he wants. usually, karl icahn does. you never get all of what you want at the beginning. you end up with a piece of it. i think karl icahn will.
10:54 am
he makes a lot of people a lot of money. stuart: spying on angela merkel. she called president obama yesterday to make it fully clear how unacceptable it would be if it were true. germany is a major economic player in europe. >> the incredible thing, yes, i do. think about how many relationships have been soured over the past two or three years. we do not want to do it with one of our strongest allies we have. stuart: where is the left? if this were president bush --
10:55 am
it is just sitting back and looking at what is going on. >> merkel, i do not think she will sit back and take it. there will be consequences. stuart: marni and company rolled on after this. ♪ not their short-term agenda. [ male announcer ] join the nearly 7 million investors who think like you do. face time and think time make a difference. at edward jones, it's how we make sense of investing.
10:56 am
10:57 am
stuart: last hour i gave you my take on the government crashing and taking the obama presidency with it. it is time for your take. angie says this, the disruption runs deep from this administration. for some these days it is difficult to see the glass half full. darlene says maybe this is the forest fire before we see the regrowth of the country. let's just hope we survive the current government long enough to look back on it.
10:58 am
>> if this was a business, what we are looking at, it would be out of business. that is why the government should not be in business. this is a perfect example of why a lot of us were against the government getting that far into our private economy. stuart: the government does not do things well. it is not equipped. >> this is a perfect example. stuart: amazon, one of the great technology companies of the united states. if they crash for two hours, i think the stock would crash. >> the stock would take at least a 10% hit. the united states government has a reputation for doing this time
10:59 am
and time again. look at the fraud in the cheating and mismanagement of medicare. stuart: is amazon crashed for a couple of hours, or a day, you can go someplace else to buy what you want. when obamacare exchanges crash, you have no choice. >> reddish healthcare has monopoly. you have to pay cash. you have to pay twice. we will get to that later. everybody in the middle will have worse medical care. we are done, david. totally. thank you very much, indeed. connell: thank you very much. we have heard the word glitch a
11:00 am
lot. our first guest coming up says what is going on with these obamacare websites is a catastrophic failure. this is a guy who would know. he is standing by. he will tell us how he thinks things went so wrong. still not satisfied? germany calling the u.s. ambassador in. there is some huge business implications for this story. we will talk about that. burned again. twenty years and running. the coffee is too hot. buying stake in an athlete's career. there is a company that has launched this idea. why would you ever want to buy stock in an athlete to begin with? we will ask the


disc Borrow a DVD of this show
info Stream Only

Uploaded by TV Archive on